Audit Finds State Workers Mismanaging Money and Fabricating Documents to Cover Their Tracks
A legislative audit found systemic mismanagement and document fabrication in Minnesota DHS Behavioral Health Administration grants totaling $426 million from 2022 to 2024.
- On Monday, Legislative Auditor Judy Randall told lawmakers that DHS Behavioral Health Administration employees backdated or created documents during an audit, presenting the findings at the state capitol on Tuesday.
- The OLA audit found the Behavioral Health Administration lacked appropriate oversight and had inadequate internal control over 830 unique grant agreements during July 2022 to December 2024.
- The audit found an organization paid $672,647.78 for one month without supporting documentation, and nearly $300,000 was paid to 11 grantees for unsupported costs.
- DHS announced a new investigation after the audit, and Temporary DHS Commissioner Shireen Gandhi said she was shocked, tracing how it happened and implementing OLA recommendations, adding `If somebody directed staff to falsify documents, it is absolutely wrong, not OK`.
- The findings add to statewide concerns that include the Feeding Our Future investigation and claims of $9 billion in Medicaid fraud, with some Legislative Audit Commission members warning of more potential DHS fraud.
44 Articles
44 Articles
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Minnesota state health workers mismanaged grant money, falsified documents, bombshell audit finds: ‘Very troubling’
Minnesota state workers in charge of taxpayer-funded grants were caught mismanaging money and potentially even fabricating critical documents to cover their tracks, a damning audit has found.
Minnesota Audit Affirms Fraud Concerns
A major state audit released this week affirms concerns of fraud in Minnesota, specifically in the Department of Human Services’ (DHS) Behavioral Health Administration (BHA) grant program. The report revealed that between July 1, 2022, and December 31, 2024, DHS provided more than $425 million in grants to 830 organizations, many of which were nongovernmental. Furthermore, the audit found “incomplete financial reconciliations for 63 of 71 grant …
Minnesota audit criticizes management of behavior health grants
The hits keep coming. The Office of the Legislative Auditor now says Minnesota is failing to properly manage and safeguard behavioral health grants, the Star Tribune reports. The report on health grants comes amid myriad allegations of fraud – some of them leveled by the Trump administration – in Minnesota’s social services programs. Teachers in the Anoka-Hennepin school district have reached a tentative agreement that would avoid a strike that …
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